Will new records come under gram?

Birol BOZKURT

With the decrease in the pressure in the dollar exchange rate, new records began to be seen in grams. While ounce gold was traded at $1,978 yesterday, gram gold was traded at 1,322 TL. Stating that he expects the upward trend in grams to continue, Gold and Money Markets Specialist Şirin Sarı said, “Even though the dollar remains stable for a while, the rise we expect under ounce can bring new records in grams.”

Individual gold demand continues

Stating that both the volatility in ounces and the upward momentum in the dollar support gram gold, Sarı said, “While the US debt ceiling crisis resulted in an agreement and the US’s default risk has decreased, gold is relieved, while the expectation of an interest rate hike at the 13-14 June FED interest rate meeting suppresses gold.

Gram gold fluctuates between 1250 TL and 1350 TL in this activity. The price difference between the free market and banks remains at 100 TL. When you go to the jeweler and buy gold, we need to add 100 TL to the international price.

The reason for the difference can be explained as the continuation of the investor’s expectation of an increase in gold and the physical demand for gold is still high. Of course, the difference of the dollar between the interbank and the free market is directly reflected in the price of gram gold.”

Under gram, the target is 1600 TL

Pointing out that the moderate rise in the dollar technically may continue gradually, Şirin Sarı said, “The path to be followed in the new economy management and monetary and fiscal policies will be decisive in dollar pricing.

On the other hand, ounce of gold lost momentum from $ 2000 levels and if we do not see pricing above $ 1980 levels again, the decreases may continue until the band of 1900 – 1910 dollars.

Although the gradual rise in the dollar continues with these price predictions, the decrease in ounce gold may create an opportunity to buy gram gold. Especially the 1250 – 1300 TL range is the strong support zone. As long as it stays above this band, gram gold will continue on its way up.

In the medium and long term, although today’s dollar price remains constant at 21 TL, the expectations of 2400 dollars per ounce may carry gram gold above the levels of 1600 TL. Inflation, recession, increase in gold reserves by central banks and geopolitical risks are still alive. These headings appear as elements that support gold.”